Outsourcing in India

History of outsourcing in India
Outsourcing in India goes all the way back to the 1700s when they became a colony of Great Britain. Back then they were getting more exploited then anything by the imperial juggernaut that was Britain back then but in more recent times the outsourcing to India is crucial to their economy. In the 1980s the IT outsourcing industry was really picking up and by the mid 1990s it blew up and everyone wanted to outsource in India. Ever since India has been a huge hot spot for outsourcing.

Why India?

The reason India has become such a booming country for outsourcing is a combination of many things. One of the most enticing parts of India's workforce is that a large amount speak English because they were once a British colony. This is why a lot of IT companies outsource here because speaking English is an essential part of those companies. Another reason is that India has one of the lowest minimum wages in the world at $0.28 USD per hour. And India also has an extremely large population which means it will have a big workforce. All of these reasons combined really shows the many benefits outsourcing in India has.

Past vs Present

In the past the outsourcing in India was only from the British because India was a British colony. The outsourcing back then was much more beneficial for Great Britain and hurtful for India. Britain back in the day exploited India and its textile industry so it would benefit the mother country of England instead of helping India's economy as well. In the present outsourcing to India has changed so much and is now a booming industry for India and is vital to its economy. India's government even encourages countries to outsource in India. Although the companies that outsource in India have changed a lot before it was a huge textile industry but now it is based on mainly IT companies now.

Pros and Cons of Outsourcing in India

Pros- It is overall beneficial for the countries outsourcing to India and for the economy of India. It provides work for lots of people because of the amount of companies that outsource there and the size of the companies. Cons- The laws in India do not protect workers that well so in some cases working conditions can be terrible and sweatshop like. Also sometimes workers can be severely underpaid and because workers are not really that protected by the law.

The Good vs The Bad in Outsourcing

Image result for IT company india
Image result for IT company india
Image result for india sweatshops
Image result for india sweatshops


As you can see outsourcing can be very good for india and be just like an office in america or be a terrible work environment like shown on the right.